Asana 2026 Q3 Earnings Beats Estimates, Raises Guidance on AI Momentum

Asana (ASAN) reported fiscal 2026 Q3 results on Dec 2, 2025, exceeding revenue and non-GAAP EPS estimates while raising full-year guidance. CEO Dan Rogers highlighted AI Studio growth and early traction with AI Teammates, alongside improved net retention rates. Despite a GAAP net loss of $68.4 million, non-GAAP net income reached $0.07 per share, driven by disciplined cost control and product-led expansion.

Revenue

Asana’s revenue increased 9.3% year-over-year to $201.03 million in Q3 2026, outperforming the $198.83 million estimate. This follows a 9% year-over-year growth in core customer revenue and a 15% rise in the $100,000+ cohort. Dollar-based net retention (NRR) improved to 96%, marking the second consecutive quarter of gains.

Earnings/Net Income

The company reported a GAAP net loss of $68.43 million ($0.29 per share), a 19.4% widening from the $57.33 million loss in Q3 2025. Non-GAAP net income, however, reached $0.07 per share, surpassing the $0.06 estimate. Operating margin improved to 8% under non-GAAP metrics, but the GAAP loss underscores ongoing profitability challenges.

Price Action

ASAN shares rose 3.56% in the latest trading day, 9.75% over the week, and -2.12% month-to-date. Post-earnings, the stock climbed 5.3% in after-hours trading.

Post-Earnings Price Action Review

The strategy of buying ASAN after earnings beats and selling after 30 days yielded a -38.66% return, compared to a benchmark gain of 86.80%. This -125.46% excess return, coupled with a 0.00% maximum drawdown and a Sharpe ratio of -0.20, highlights the strategy’s high risk and poor performance.

CEO Commentary

CEO Dan Rogers emphasized “solid quarter” performance, with Q3 revenue exceeding guidance by 1 percentage point. He highlighted AI Studio’s growth in self-serve users and the introduction of AI Teammates, which are already deployed across engineering, IT, and operations. Rogers noted a 12-month high in monthly customer retention and key expansions, including a Fortune 100 healthcare client. The departure of COO Anne Raimondi led to a streamlined leadership structure, with go-to-market leaders now reporting directly to Rogers to accelerate execution.

Guidance

For Q4 2026, Asana expects revenue of $204–206 million (8–9% growth) and non-GAAP EPS of $0.07. Full-year revenue guidance was raised to $789–791 million from $780–790 million, with non-GAAP EPS of $0.25–0.26. CFO Sonalee Parekh cited reinvestment in AI initiatives and improved NRR as key drivers.

Additional News

Asana announced leadership changes, with COO Anne Raimondi and General Counsel Eleanor Lacey resigning effective Dec 31, 2025. Katie Colendich was appointed General Counsel, receiving a $500,000 base salary, RSUs, and PSUs tied to performance. The company also raised FY2026 revenue guidance, citing AI-led expansion and operational efficiency.

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